According to the recently released “India Electric Vehicle and Components Market Overview Report”, India’s electric vehicle (EV) component market is projected to grow eight-fold over the next seven years, from ₹41,000 crore in 2025 to ₹3.55 lakh crore by 2032.
The report, published by the India Energy Storage Alliance (IESA) in collaboration with Customized Energy Solutions (CES) at the India Energy Storage Week (IESW) 2026 in New Delhi, highlights the significant growth potential of India’s EV component ecosystem. It said the domestic EV component value chain is set to become a key driver of the country’s industrial growth and clean mobility transition, supported by growing EV adoption, localization efforts and manufacturing investments.
“India’s EV momentum is unmatched, driven by innovation and collaboration. Strengthening domestic supply chains will be central to the success of our clean mobility,” said Vinayak Valimbe, Managing Director, Customized Energy Solutions.
The grand finale of this week’s industry dialogue took place at the India Energy Storage Week (IESW) 2026, a three-day event organized by the India Energy Storage Alliance (IESA) at Yashobhoomi (IICC), New Delhi. The summit brought together over 200 exhibitors and 10,000 industry leaders for policy discussions, technical exchanges and key announcements to define India’s clean energy transition.
Dr Ian Martins, Investment and Trade Commissioner, India-Gulf, Government of Western Australia, said, “Western Australia is ready to partner with India not only as a supplier of critical minerals, but also as an innovation and investment partner in the EV revolution. The future of electric mobility and industrial-scale storage will be defined by what the nations achieve together, not alone.”
The report highlights that battery packs will account for more than half of the component market in 2025, with motors, inverters and power electronics also playing important roles. As original equipment manufacturers (OEMs) increase drivetrain integration and Indian industry leaders invest in advanced sub-systems, the share of motors, inverters and battery management systems (BMS) in the component market is set to grow rapidly. However, the report also cautions that battery packs and inverters remain the most import-dependent segments of the value chain, together representing about 60% of the cost structure of EVs, while motors and BMS are increasingly being localized due to their software-driven and low capital intensity characteristics.
Avantika Satish, Consulting Director, CES, said, “The boom in India’s EV component market signals our readiness to lead in technology and manufacturing. The strategic investment now will secure India’s place in the global EV value chain.”
The report outlines that the Indian EV component market is set to grow at a compound annual growth rate (CAGR) of 38% between 2025 and 2032, which is much higher than the global average. The incremental opportunity of ₹3.14 lakh crore over this period will disproportionately reward domestic companies that invest in R&D, manufacturing capacity and supply chain flexibility. Leading Indian companies such as Bharat Forge, Bosch India, Uno Minda and Tata Autocomp are already increasing their EV subsystem investments, although the report said the depth of technology and large-scale manufacturing is uneven across the industry.
According to the report, the future of India’s EV sector depends not only on increased sales but also on building strong technology ownership, local supply chains and intellectual property that can underpin the country’s mobility landscape for the next decade.
The event brought together government officials, industry leaders and innovators from 15 countries, including Germany, Sweden, Australia, Norway, the United States, Japan, Singapore, France and South Korea, promoting cross-border collaboration and knowledge exchange. Highlights include the Women in Energy Forum on digital innovation and leadership, the IESA Awards and dynamic panels on India’s EV race and charging networks, and practical IESA Masterclasses for industry professionals. Specialized workshops, roundtables and international pavilions promoted focused dialogue and partnerships. With actionable insights, an emphasis on security and inclusion, IESW 2026 sets the stage for the next wave of innovation and global collaboration in advanced energy storage, e-mobility and green hydrogen.